December 2025 Middle Tennessee Market Update
What Homebuyers and Sellers Need to Know Heading Into 2026
As we close out 2025, the Middle Tennessee real estate market continues to demonstrate resilience, price stability, and strong long-term demand across Davidson, Williamson, Rutherford, Sumner, Wilson, and surrounding counties. While activity varied by market, December’s year-end data paints a clear picture: home values remain elevated, inventory is tight, and well-priced homes are still moving efficiently.
Home Prices Remain Strong Across Middle Tennessee
Despite shifting interest rates and seasonal slowdowns, average and median home prices across Middle Tennessee remained firm throughout 2025, signaling continued confidence in the region’s housing market.
Williamson County Continues to Lead in Pricing
Williamson County once again stood out as the region’s premium market, with:
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Average sales prices exceeding $1.28M year-to-date
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Median home prices reaching $1,000,000
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Strong price appreciation year-over-year
This reflects sustained demand for luxury homes, custom new construction, and high-quality neighborhoods — even amid broader economic adjustments.
Davidson County Shows Stability and Consistent Demand
Davidson County maintained its role as the region’s most active market:
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Over 8,400 closed single-family home sales in 2025
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Average prices in the mid-$700,000s
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Continued buyer interest in both urban and suburban areas
Steady pricing and consistent transaction volume suggest Nashville remains a cornerstone of Middle Tennessee real estate.
Sales Activity: Moderation Without Market Weakness
While some counties saw modest year-over-year declines in total closed sales, this shift reflects normalizing demand rather than market softening.
Key takeaways:
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Rutherford, Maury, and Robertson counties experienced slight decreases in closed sales
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Sumner, Cheatham, and Montgomery counties posted gains in activity
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Buyer demand remains strong where affordability and inventory align
This trend points to a more balanced market — especially compared to the frenzied pace of prior years — without significant downward pressure on values.
Days on Market Remain Historically Healthy
One of the strongest indicators of market health in December 2025 was Days on Market (DOM).
Across most counties:
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Homes sold in 30–45 days on average
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Well-priced properties continued to sell quickly
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Buyers remain motivated, particularly for move-in-ready homes
Williamson and Wilson counties posted some of the lowest average DOM, reinforcing the competitiveness of these markets.
Inventory & Months of Supply: Still a Seller-Lean Market
Despite gradual improvements, housing supply remains constrained across Middle Tennessee.
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Most counties are operating between 3.8 and 5.1 months of supply
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A balanced market typically begins around 6 months
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New construction accounts for roughly 9–15% of total sales, depending on county
Limited inventory continues to support home values and provides sellers with leverage — especially in desirable school zones and established communities.
New Construction Plays a Growing Role
New construction continues to be a key factor in meeting buyer demand:
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Higher percentages of new home sales in Rutherford, Maury, Wilson, and Montgomery counties
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Buyers seeking energy efficiency, modern layouts, and customizable finishes
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Builders adjusting pricing strategies to remain competitive
This segment remains an important opportunity for buyers navigating low resale inventory.
What This Means for Buyers in 2026
For buyers entering the market:
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Expect stable pricing, not widespread price drops
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Be prepared to act quickly on well-priced listings
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Consider new construction or expanding geographic flexibility
Strategic guidance, local expertise, and strong financing preparation will remain critical in the year ahead.
What This Means for Sellers in 2026
For sellers:
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Home values remain historically strong
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Pricing accuracy is more important than ever
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Presentation, staging, and marketing continue to impact results
Sellers who position their homes correctly are still achieving successful outcomes — even as the market becomes more selective.
Final Thoughts: A Confident Close to 2025
The December 2025 Middle Tennessee real estate market closes the year with strength, stability, and long-term confidence. While activity has normalized from peak years, market fundamentals remain solid—driven by continued population growth, economic expansion, and sustained demand across the region.
As we head into 2026, informed decision-making and local market insight will be essential for both buyers and sellers navigating an evolving landscape. Our team closely monitors these trends and is here to help you understand what they mean for your goals.
Considering a move in the coming months? Let’s talk strategy and timing to position you for the strongest possible outcome.
📞 Contact us today for a complimentary home valuation or personalized home search consultation.